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Board of Finance warns mill-rate gap will tighten review process after referendum
Summary
Board members said a small discrepancy between the mill rate used to issue tax bills and the rate the budget required creates a tighter budget year and a need for closer scrutiny of requests. The chair said legal review and possible corrective steps are under consideration.
The board spent the meeting’s opening discussing the budget context created by recent referendum results and a small gap in the mill rate used to issue tax bills. The chair said the town and school operations budget is in place but that a flat revenue picture and removed or reduced supportable costs have left reserves thin and will require a more stringent review process by the Board of Finance.
"We do have a past, 20 six-twenty 7 operations budget for the town and schools, but there's an unknown impact of, costs that are supportable, but have been removed from, or reduced, in the budget, and also the flat revenue picture that we have in town, it sort of equals a tighter, board of finance request process," the chair said. Board members noted the selected mill rate was about 0.2 of a mill lower than the budgeted rate, a gap that could create timing and revenue issues; the board said it will consult the town attorney about legal and procedural steps and consider whether sending corrected bills or adjustments are required.
Members discussed timing options for any adjustment and the cost of sending another set of tax bills. The board emphasized it will take steps ‘‘so we could get the tax bills out,'' and asked town staff to investigate legal procedures and costs before any further action.
